top of page
background4_edited_edited_edited_edited.jpg

Business Model

Below you will find the full details of the business relationship between the House Owner and WonderVillage regarding each side’s rights and responsibilities. 

​

Definitions:

  • Category of House: The houses in WonderVillage are categorized according to size and earning potential, as follows: hotel room, studio, 1 bedroom, 1-2-3 bedroom villas. 

  • Credit Points: Each Category of House grants the House Owner eligibility for a set amount of Credit Points, which are used to calculate his or her earnings from rental fees and dividends, or obligations in rental fees. The detailed table of Credit Points can be found in Annex A.  

  • Village: All reference to the “Village” refers to the WonderVillage and the decisions made by the management team. 

  • House Owner: A House Owner is a person who has paid in full for a specific house or the rights to a Category of House in WonderVillage.

Rights and responsibilities of the House Owner:

​

Rights:

  1. Purchasing rights: The House Owner may choose to purchase a specific house in the Village, or the rights to a Category of House in the Village. 

    • A House Owner will be able to choose his/her specific house once the plans for the layout of the Village are finalized. 

    • The order in which a House Owner may choose his/her specific house will be determined according to the chronology in which each House Owner finalized his/her purchase (signing the agreement).

  2. Residential rights: At any given time, the House Owner may choose to occupy one of the houses in the Category of House purchased, or to occupy a house in a different category than the Category of House purchased. The House Owner must give a notice to the Village 2 months prior to his/her plans. If less than 2 months notice is given, the Village will still make every effort to accommodate the House Owner’s request. For a detailed analysis of the rights and responsibilities of the House Owner during the periods in which he or she chooses to live in the Village, please see Annex B. 

  3. House modifications: In the event that a House Owner has purchased a specific house and wishes to make customized changes to the house, the Village will support the House Owner. However, the Village reserves the right to decide whether or not to rent out the unit if the house is unoccupied, according to the standardized benchmark of all the units available for rent. 

  4. Storage: In the event that a House Owner wishes to store belongings during the periods in which he/she is not occupying a house in the Village, safe and dry storage will be provided for personal belongings. 

  5. Rental income: During the periods in which the House Owner chooses not to occupy any of the houses in the Village, he or she is eligible to receive rental income proportionate to his or her Credit Points in the Category of House purchased. The rental income each House Owner is eligible to receive will be calculated in the manner detailed in Annex C. 

  6. Dividends: In the event that the Village decides to distribute surplus revenue amongst the House Owners at the end of a given period, the dividends will be distributed according to each House Owner’s Credit Points. 

  7. House sales: In the event that a House Owner wishes to sell their house or their rights to a house in the Village, he or she will notify the Village of their intentions. In the event that the House rights sell for more than the initial investment, the House Owner will receive the sum of his or her initial investment, plus 75% of the difference in the sale price. In the event that the House rights sell for less than the initial investment, the House Owner will receive the full sale price. 

 

Responsibilities:

  1. Management fees: Each House Owner is responsible for payment of ongoing management fees to the Village. The management fees will be calculated on a yearly basis, and according to the Category of House. Each Category of House is required to pay a fixed minimum yearly management fee, or 25% of the yearly revenue from the rental income of the house, the higher of the two sums. 

  2. Maintenance: Each House Owner is responsible for the safety and maintenance of their personal equipment and belongings during the time that he/she chooses not to reside in the Village (safe and dry storage available). The House Owner is also responsible for the safety and maintenance of all the furniture, appliances, and equipment provided by the Village during the time that he/she chooses to reside in the Village.

  3. Completion of financial investment: All the rights and responsibilities detailed in this agreement are pending the completion of the House Owner’s financial investment within the relevant time frame.

Rights and responsibilities of the Village:

​

Rights:

  1. House allocation: During the periods in which the House Owner chooses not to occupy his or her house, the Village reserves the rights in the definition and decision making process of all rental contracts, including but not limited to, rental fees and renters.

  2. Village income sources: The income sources of the Village include all sales made through the restaurant, gift shop, spa, activities, retreats, day passes, etc. In addition, the Village income sources from the houses include:

    • Houses owned by the Village: all retreat fees + rental fees.

    • Houses owned by a House Owner: all retreat fees + management fees.

  3. House sales: The Village reserves the rights to managing the selling process and the decision regarding the buyer. The House Owner may participate in the selling process by acting as mediator or bringing in potential buyers, but the Village reserves the right to veto potential buyers.

    • In the event that the House rights sell for more than the initial investment, the Village will receive 25% of the revenue from the sale (the final sale amount minus the House Owner’s initial investment). 

 

Responsibilities:

  1. Management of the Retreat Center: The Village is responsible for all aspects regarding the management of WonderVillage, including maintenance, marketing, planning and running activities for the guests, business activities, the vibe and ambiance of the place, donations and scholarships, etc. The management will be conducted in line with the modus operandi of Wonderland Healing Center over the last five years. 

  2. Asset management: The Village is responsible for all aspects of managing the houses and the facilities, including maintenance, infrastructure (including water, electricity, and internet), insurance, gardening and landscaping, development, and depletion repairs due to reasonable use. The Village will define the scope of reasonable use of the houses, buildings, and surrounding areas. In the event of damage caused due to unreasonable use of the houses and facilities, the Village may issue a fine to the user. The House Owner is not responsible for managing the actions of the renters or paying their fines. The Village’s management responsibilities include:

    • Maintaining all the facilities and the houses in high standard.

    • Public infrastructures - Electricity, water, sewage, internet

    • Maintaining the gardens and landscape

    • Scheduling and activities

    • Marketing and sales

    • Legal and Financial

    • Kitchen and restaurant

    • Housekeeping

    • Laundry

Annex A:
Credit Points by Category of House

Category of House

Hotel Room

Studio

1 Bedroom

1 BR Villa

2 BR Villa

3 BR Villa

Credit Points

10

12

12

14

20

24

Annex B:
Residential rights and responsibilities

For the periods in which the House Owner chooses to occupy his/her specific house, or one of the houses in his/her Category of House, the House Owner is only responsible for the payment of management fees. 

For the periods in which the House Owner chooses to occupy a house in a “larger” Category of House than his/her purchased Category, the House Owner will be responsible for paying the difference in the rental fees relevant to that period.

  • For example: If a House Owner purchased a studio (being rented out at 2,000 THB/night), and is staying in a 2 BR villa (being rented out at 5,000 THB/night), the House Owner will pay the difference in the rental fees: 5,000 - 2,000 = 3,000 THB/night.

  • **All rental fees paid by House Owners will be eligible for the House Owner’s Discount.

For the periods in which the House Owner chooses to occupy a house in a “smaller” Category of House than his/her purchased Category, the House Owner will be entitled to rental income calculated by subtracting the value of Credit Points in the occupied house from the House Owner’s purchased Credit Points.

  • For example: If a House Owner purchased a 2 BR villa (worth 20 Credit Points), and is staying in a studio (worth 12 Credit Points), the House Owner will be eligible to receive rental income proportionate to 8 Credit Points for that period.

Annex C:
Rental Income

The rental income for distribution in each period will be calculated as follows: 

  • The sum total of all the rental income received during that period will be divided amongst the House Owners according to each House Owner’s Credit Points. The specific houses rented out are not a factor in the calculation, only the sum total of the rental income received from all the houses. 

  • Each House Owner will receive his or her share of the sum total of the rental income according to his or her Credit Points. 

  • The sum total of the rental income includes *only* the income the Village receives from the rental agreements, and does not include all other forms of income or revenue, such as management fees, retreat sales, activities, restaurant sales, gift shop sales, treatments, etc. 

Example:

  • David owns a studio (12 Credit Points), Lauren owns a 2 BR villa (20 Credit Points). 

  • The “total” Credit Points are 32.

  • In January, the “sum total” of income received was 50,000. 

  • David receives 37.5% (12/32) of the income, or 18,750. 

  • Lauren receives 62.5% (20/32) of the income, or 31,250. 

House Owner

David

Lauren

Total:

Credit Points

10

20

30

% of Income

37.5%

62.5%

100%

Income         

18,750

31,250

50,000

bottom of page